Is monthly phone allowance paid into salary subject to income tax?

Hi folks,

My company pays monthly phone allowance into salary and deducts income tax. But I read on this link that these are tax exempt:
- Gifts  of  fixed  line  telephone,  mobile  phone,  pager  or Personal  Digital  Assistant(PDA)registered  in  the name of the employee or employer including cost of registration and installation.
- Monthly bills for subscription of broadband, fixed line telephone, mobile phone, pager and PDA registered in the name of the employee or employer including cost of registration and installation.

http://lampiran1.hasil.gov.my/pdf/pdfam … artF_2.pdf

How to understand and read this correctly? Appreciate your input.

If you claim it as an expense monthly then you will not have to pay tax.  However if it is paid as an allowance to you monthly then you will have to pay tax on it.  If it doesn't impact your tax amount significantly and you are okay with it then just take it as an allowance monthly.  However if it is increasing your tax payout by a few hundred dollars a year then you may want to submit an expense claim. However each company may have its own way of doing it but for sure you will not have to pay tax if it considered an expense.  Your company accountant will know how to do it but whether they will do it or not is another matter. Good luck.

Thank you so much for your advice :)

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